Emami buys majority stake in Australian firm
Personal and healthcare FMCG company Emami, through its subsidiary Emami International FZE, has acquired controlling stake in Australia-based Fravin Pty Ltd. along with its three subsidiaries. Fravin Pty Ltd. is engaged in research and development (R&D) and in the manufacture of natural and organic personal care products.
This international acquisition marks Emami’s entry into the fast-growing natural and organic personal care segment, and is in line with the company’s strategy to be present in sectors with high growth potential.
“This is a significant step for the organisation as the acquisition marks Emami’s entry into organic personal care products, where we were not present earlier. The global market for organic products, which was over $7.6 billion in 2013, is expected to double in six years.” said Emami Director Harsh Agarwal in a release.
Promoted by a Trichologist and a ‘World Master Hairdresser’ Peter Francis, the Fravin group manufactures a range of hair and skin care products.
Fravin Pty Ltd Managing Director Peter Francis said, “There are strong synergies between the two companies. With Emami’s strong marketing network and our R&D capabilities and advanced technologies, we expect to take the brands to new heights.” The group has its R&D and manufacturing facility in Adelaide, Australia. The group also manufactures a range of organic personal care products ‘eco.kid’, especially developed and formulated for children.
Fravin will be part of Emami’s international business division, which contributes around 14 per cent to the total FMCG business.
Emami has presence in over 60 countries across the world.
Group CFO Naresh Bhansali declined to disclose the financials of the deal, citing confidentiality clauses.